Prime Minister Narendra Modi is expected to visit the United Kingdom on July 23-24 to sign the landmark India-UK Free Trade Agreement (FTA). Following this, he is scheduled to travel to the Maldives on July 25-26 to attend their National Day celebrations as the Chief Guest.

India-UK Free Trade Agreement

The India-UK FTA, finalized in May after three years of negotiations, is projected to boost jobs, trade, and bilateral security ties between the two nations. The agreement aims to remove tariffs on 99% of Indian exports to the UK and ease the way for British exports, including whisky and cars, to India. This is expected to significantly enhance the overall trade between the two countries.

PM Modi has described the FTA as a "historic milestone" that will stimulate trade, investment, economic growth, and job creation in both countries, while also deepening the India-UK comprehensive strategic partnership. The agreement will ensure comprehensive market access for Indian goods across all sectors, expanding India's presence in the UK market and creating new opportunities for British businesses in India.

The FTA could take about a year to become effective, as it needs to be approved by the British Parliament and India's federal cabinet. The legal aspects of the agreement are still being finalized. The deal will need to undergo Britain's parliamentary scrutiny process and be reviewed by India's Cabinet before it takes effect.

Mending Ties with the Maldives

Following his visit to the UK, PM Modi is scheduled to travel to the Maldives on July 25-26 to attend the National Day celebrations. This visit is significant as it aims to mend strained ties between India and the Maldives.

In January 2024, relations between India and the Maldives were strained due to derogatory remarks made by Maldivian cabinet ministers and concerns over perceived racism directed at PM Modi. There were also calls in India to boycott vacations to the Maldives. Furthermore, President Muizzu requested that India withdraw its troops by May 10, linking the issue to the sovereignty of the Maldives.

Despite these challenges, both countries have been working towards improving relations. In May 2025, India and the Maldives signed 13 Memoranda of Understanding (MoUs) to implement projects under the Indian grant assistance scheme, focusing on enhancing ferry services, expanding maritime connectivity, and uplifting community livelihoods. These projects are part of the High Impact Community Development Project (HICDP) Phase III.

India has also reiterated its commitment to strengthening the Maldives' defense capabilities, including providing defense equipment and personnel training. In the Union Budget for 2025-2026, aid to the Maldives was increased to Rs. 600 crore from Rs. 470 crore in 2024-25. India has also extended a currency swap facility to help stabilize the Maldivian economy.